OREANDA-NEWS. The Board of RAO “UES of Russia” considered the Strategy Statement for additional share offerings by RAO UES subsidiaries. This statement was prepared on the commission of the Board of Directors by the management of RAO "UES of Russia" and investment banks acting as advisors to the Company.

The Strategy Statement for offerings of WGC/TGC share issues identifies the goals and objectives and assesses the possibilities for and the mechanisms proposed to be used to raise funds from private investors. The document also contains a detailed plan for the first half of 2007.

The Board approved the approach to the preparation of offerings of additional shares in generation companies proposed in the Strategy Statement. It highlighted that the proceeds from the sale of WGC and TGC shares will serve as a key source of funds needed to implement the generation companies' investment programmes.
 
The Management Board of RAO "UES of Russia" was given the task to present proposals ensuring that the funds raised from investors are used for the designated purpose. These proposals are to be reviewed by the Board of Directors in the discussion of the particulars and timeframes of such additional share offerings. In addition, the Management Board is to make proposals relating to management of the cash generated through the additional share offerings.